The XAU/USD exchange rate traded along the upper boundary of the medium-term descending channel .
Given that the rate is pressured by the 55-, 100- and 200-hour SMAs, it is likely that the price for gold could decline.
Economic Calendar Analysis
This week, notable data releases are set to start on Tuesday.
On Wednesday, the weekly US Crude Oil Inventories will be released at 15:30 GMT.
On Thursday, the US CPI data sets are set to be published at 13:30 GMT. Last but not least, on Friday the US Retail Sales data will be out also at 13:30 GMT.
The week's event historical data tables have been published. Click on the headline below to read the article.
XAU/USD short-term forecast
On Tuesday, the XAU/USD exchange rate traded downwards along the upper boundary of the medium-term descending channel. During today's morning, the rate was trading at 1,565.00.
Note that yellow metal is pressured by the 55-, 100– and 200-hour SMAs, currently located in the 1,570.00 area. Thus, some downside potential could prevail in the market.
However, if the exchange rate fails to surpass the 1,562.00 level, it is likely that gold could trade sideways against the Greenback within the following trading session.
Hourly Chart
On the daily candle chart, it can be observed how the rate broke the channel up pattern, which guided the rate's surge since the start of December.
Meanwhile, take into account that the metal is overbought, as indicated by daily simple moving averages, which are located near the 1,500.00 level.
Daily Chart
Traders are short on gold
Since Tuesday, the Swiss Foreign Exchange gold sentiment was 54% short.
Meanwhile, in the 1000 base point range around the current metal's price the pending orders were bearish – 68% of orders were to sell and 32% to buy.